HomeMy WebLinkAboutSummary FormAGENDA ITEM SUMMARY FORM Law Department
'7 Matter ID No.
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FILE ID• nq - 00149
Date: 07/14/2009 Requesting Department: Community Development
Commission Meeting Date: 07/23/2009 District Impacted: 5
Type: ® Resolution ❑ Ordinance ❑ Emergency Ordinance ❑ Discussion Item
❑ Other
Subject: EXECUTING A SAFE HARBOR MANAGEMENT AGREEMENT WITH MIAMI'S
RIVER OF LIFE, INC.
Purpose of Item:
A RESOLUTION OF THE MIAMI CITY COMMISSION, WITH ATTACHMENT(S), BY A FOUR-
FIFTHS (4/5THS) AFFIRMATIVE VOTE, AFTER AN ADVERTISED PUBLIC HEARING,
RATIFYING, APPROVING AND CONFIRMING THE CITY MANAGER'S RECOMMENDATIONS
AND FINDINGS THAT COMPETITIVE BIDDING METHODS ARE NOT PRACTICABLE OR
ADVANTAGEOUS PURSUANT TO SECTION 18-85 OF THE CODE OF THE CITY OF MIAMI,
FLORIDA, AS AMENDED; WAIVING THE REQUIREMENTS FOR SAID PROCEDURES;
APPROVING THE RECOMMENDATIONS AND FINDINGS OF THE CITY OF MIAMI'S
DEPARTMENT OF COMMUNITY DEVELOPMENT THAT MIAMI'S RIVER OF LIFE, INC., A STATE
OF FLORIDA AND FEDERAL NOT-FOR-PROFIT ORGANIZATION, ("MRL"), IS THE MOST
QUALIFIED FIRM TO PROVIDE SUPPORTIVE HOUSING AND OTHER SUCH ACTIVITIES IN
CONJUNCTION WITH THE DEVELOPMENT, MANAGEMENT, AND USE OF THE CITY -OWNED
SIX (6) UNIT PROPERTY LOCATED AT 1371 NORTHWEST 61ST STREET, MIAMI, FLORIDA,
LEGALLY DESCRIBED IN EXHIBIT "A," ATTACHED AND INCORPORATED ("PROPERTY");
AUTHORIZING THE CITY MANAGER TO EXECUTE A SAFE HARBOR MANAGEMENT
AGREEMENT, IN SUBSTANTIALLY THE ATTACHED FORM, FOR A FIVE (5) YEAR INITIAL
TERM WITH UP TO TWO (2) OPTIONS TO RENEW FOR TERMS OF FIVE (5) YEARS EACH,
WITH MRL FOR THE DEVELOPMENT, MANAGEMENT AND USE OF THE PROPERTY FOR A
SUPPORTIVE HOUSING FACILITY (A TRANSITIONAL INDEPENDENT LIVING FACILITY) FOR
FEMALE YOUNG ADULTS TRANSFERRING OUT OF FLORIDA'S FOSTER CARE SYSTEM
(INCLUDING AT -RISK DEPENDENCEY AND DELINQUENCY CARE SYSTEMS); FURTHER
AUTHORIZING THE CITY MANAGER, AFTER CONSULTATION WITH THE CITY ATTORNEY, TO
EXECUTE ALL OTHER NECESSARY DOCUMENT(S) FOR SAID PURPOSE FOR
DEVELOPMENT, MANAGEMENT, AND USE(S) OF THE PROPERTY TO COMPLY WITH
REQUIREMENTS OF THE INTERNAL REVENUE CODE OF 1986, AS AMENDED, AND OF THE
CITY'S HOMELAND DEFENSE/NEIGHBORHOOD CAPITAL IMPROVEMENTS BOND PROGRAM;
AND RESCINDING RESOLUTION NO. 08-0253.
Background Information:
Please see attached
Budget Impact Analysis
NO Is this item related to revenue?
NO Is this item an expenditure? If so, please identify funding source below.
General Account No:
Special Revenue Account No:
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AGENDA ITEM SUMMARY FORM CONTINUED
Background Information:
Pursuant to Resolution No. 04-0271 adopted on April 22, 2004 (attached and incorporated
hereby as Composite Exhibit "A"), the Miami City Commission authorized, inter alia, the
allocation in an amount not to exceed one million, eight hundred thousand dollars ($1,800,000)
for land acquisition for the Model City Home Ownership Zone Pilot Project from funds previously
designated for Model City infrastructure improvements, in Fiscal Year 2003 and Fiscal Year
2004 allocations of Homeland Defense/Neighborhood Improvements Improvement Bond
proceeds conditioned upon favorable decision of Bond Counsel (attached and incorporated
hereby as part of Composite Exhibit "A").
In conjunction with Resolution No. 04-0271, such determination by Bond Counsel also provided
conditions for land acquisitions and concluded, inter alfa, that the District 5 "Quality of Life"
designation for Homeland Defense/Neighborhood Improvement Bond proceeds could also be
used, in order for land acquisitions to comply with the required rules and regulations of the
Internal Revenue Code of 1986, as amended (collectively, the "Internal Revenue Code") and
with the related City requirements for the Homeland Defense/Neighborhood Capital
Improvements Bond Program.
On September 23, 2004, pursuant to the authorization of Resolution No. 04-0271, the Model
City Trust acquired for one hundred and sixty thousand, seven hundred and fifty-eight dollars
and twenty-eight cents ($160,758.28) the multifamily rental property located at 1371 Northwest
61St Street, Miami, Florida (the "Property") as part of the Model City Home Ownership Zone Pilot
Project.
On March 10, 2008, the City of Miami ("City") issued a request for proposals ("RFP"), for non-
profit entities to acquire the City -owned Property, for the provision of transitional housing for
youth transitioning out of Florida's foster care systems, Miami's River of Life, Inc. ("MRL")
submitted the only response to the RFP, and that response met the minimum RFP threshold
requirements.
After review by an Evaluation Committee comprised of a resident of the Liberty City area, a
representative of the Liberty City Community Revitalization Trust and an employee of the City of
Miami Department of Community Development, the City Commission pursuant to Resolution
No. 08-0253, adopted May 8, 2008 ("Resolution No. 08-0253"), decided to accept the MRL
proposal, with the intent to convey the Property to MRL and (i) in accordance with the Internal
Revenue Code guidelines applicable to agreements involving governmental units and uses of
bond -financed facilities by a not-for-profit organization with tax-exempt status under Internal
Revenue Code Section 501(c)(3), and (ii) in consideration of the ongoing Homeland
Defense/Neighborhood Capital Improvements Bond Program and potential future City needs,
the City has determined to retain the Property and to enter into a Safe Harbor Management
Agreement for the Property with MRL, rather than to convey the Property with restrictions; and
MRL is a Florida and federal not for profit organization which for the past fourteen (14) years
has committed its resources to the care, protection, and progress of thousands of youth in the
State of Florida's Department of Juvenile Justice, Department of Children and Families and
other child protection systems.
The MRL "Independent & Transitional Living" program will serve young ladies from 16 to 21
years of age who are in need of transitional living on an average of 3 to 9 months.
MRL is in good standing with the City.
The development, management, and use of the Property by MRL will be subject to the following
continuing compliance covenants, among others necessary to comply with the Homeland
Defense/Neighborhood Capital Improvements Bond Program, to be included in the Safe Harbor
Management Agreement: (i) the Property must be developed, managed, and used for
supportive housing for female young adults transferring out of Florida's foster care system
(including at -risk dependency and delinquency care systems); (ii) priority must be given to
young adults from the Liberty City area; (iii) MRL must retain its State of Florida and Federal
not-for-profit status throughout the initial term of the Safe Harbor Management Agreement and
any renewals thereof; (iv) the initial term shall be for five (5) years, with up to three (3) options to
renew for five (5) years each term; (v) neither the City nor MRL shall pay or receive from each
other any compensation for the development, management and/or use of the Property; (vi) the
City must approve in writing in advance any change in development, management and/or use of
the Property; and (vii) MRL's rights to develop, manage and use the Property will terminate and
the rights to develop, manage, and use the Property shall revert to the City in the event the
Property ceases to be developed, managed and/or used for its intended purpose.
The City Manager has approved the recommendation of the Department of Community
Development, and has made findings that pursuant to Section 18-85 of the Code of the City of
Miami, Florida, as amended ("City Code"), competitive negotiation methods are neither
practicable nor advantageous for obtaining said services for development, management and
use of the Property, and has recommended to the City Commission that the recommendation
and finding be adopted.
The Administration recommends entering into a Safe Harbor Management Agreement, with
continuing compliance conditions and provisions, for the City -owned six unit building located at
1371 Northwest 61St Street, Miami, Florida, legally described in Exhibit "A", attached and
incorporated, to MRL for the development, management and use of the Property for supportive
housing (a transitional independent living facility) for female young adults transferring out of
Florida's foster care systems (including at -risk dependency and delinquency care systems), with
the further intention to convey the Property to MRL once the IRS bond compliance period has
ended.
CIP Project No:
NO Is this item funded by Homeland Defense/Neighborhood Improvement Bonds?
Start Up Capital Cost:
Maintenance Cost:
Total Fiscal Impact:
CIP
If using or receiving capital funds
Grants
Final Approv
(SIGN AND DAT
Budget
Risk M
Dept. l;
City M
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